S&P 500 Earnings Season Update: May 1, 2026

Nearly two-thirds of the way through the earnings season, the S&P 500 is reporting impressive results. Both the percentage of S&P 500 companies reporting positive earnings surprises and the magnitude of earnings surprises are above recent averages. As a result, the index is reporting higher earnings for the first quarter today relative to the end of last week and relative to the end of the quarter. In addition, the index is reporting its highest earnings growth rate since Q4 2021.

Overall, 63% of the companies in the S&P 500 have reported actual results for Q1 2026 to date. Of these companies, 84% have reported actual EPS above estimates, which is above the 5-year average of 78% and above the 10-year average of 76%. If 84% is the actual number for the quarter, it will mark the highest percentage of S&P 500 companies reporting a positive EPS surprise since Q2 2021 (87%). In aggregate, companies are reporting earnings that are 20.7% above estimates, which is also above the 5-year average of 7.3% and above the 10-year average of 7.1%. If 20.7% is the actual number for the quarter, it will mark the highest surprise percentage reported by the index since Q1 2021 (22.2%). Historical averages reflect actual results from all 500 companies, not the actual results from the percentage of companies that have reported through this point in time.

During the past week, the positive EPS surprises reported by three of the “Magnificent 7” companies (Alphabet, Amazon.com, and Meta Platforms) were the largest contributors to the increase in the overall earnings growth rate for the index over this period. Since March 31, the positive EPS surprises reported by these same three “Magnificent 7” companies (Alphabet, Amazon.com, and Meta Platforms) have also been the largest contributors to the increase in the overall earnings growth rate for the index over this period.

As a result, the index is reporting higher earnings for the first quarter today relative to the end of last week and relative to the end of the quarter. The blended (combines actual results for companies that have reported and estimated results for companies that have yet to report) earnings growth rate for the first quarter is 27.1% today, compared to an earnings growth rate of 15.0% last week and an earnings growth rate of 13.1% at the end of the first quarter (March 31).

If 27.1% is the actual growth rate for the quarter, it will mark the highest earnings growth rate reported by the index since Q4 2021 (32.0%) and the 6^th consecutive quarter of double-digit (year-over-year) earnings growth for the index.

Nine of the eleven sectors are reporting year-over-year earnings growth. Seven of these nine sectors are reporting double-digit earnings growth, led by the Communication Services, Information Technology, Consumer Discretionary, and Materials sectors. On the other hand, two sectors are reporting a year-over-year decline in earnings: Health Care and Energy.

In terms of revenues, 81% of S&P 500 companies have reported actual revenues above estimates, which is above the 5-year average of 70% and above the 10-year average of 67%. If 81% is the actual number for the quarter, it will mark the highest percentage of S&P 500 companies reporting a positive revenue surprise since Q2 2021 (87%). In aggregate, companies are reporting revenues that are 1.9% above the estimates, which is below the 5-year average of 2.0% but above the 10-year average of 1.5%. Again, historical averages reflect actual results from all 500 companies, not the actual results from the percentage of companies that have reported through this point in time.

As a result, the blended revenue growth rate for the first quarter is 11.1% today, compared to a revenue growth rate of 10.3% last week and a revenue growth rate of 9.9% at the end of the first quarter (March 31).

During the past week, positive revenue surprises reported by companies in multiples sectors (led by the Health Care and Communication Services sectors) were the largest contributors to the increase in the overall revenue growth rate for the index over this period. Since March 31, positive revenue surprises reported by companies in multiple sectors (led by the Health Care, Communication Services, Information Technology, and Industrials sectors) have been the largest contributors to the increase in the overall revenue growth rate for the index over this period.

If 11.1% is the actual revenue growth rate for the quarter, it will mark the highest revenue growth rate reported by the index since Q2 2022 (13.9%).

All eleven sectors are reporting year-over-year growth in revenues, led by the Information Technology, Communication Services, Financials, and Real Estate sectors.

For Q2 2026 through Q4 2026, analysts are calling for earnings growth rates of 21.3%, 23.0%, and 20.6%, respectively. For CY 2026, analysts are predicting (year-over-year) earnings growth of 21.3%.

The forward 12-month P/E ratio is 20.9, which is above the 5-year average (19.9) and above the 10-year average (18.9). This P/E ratio is also above the forward P/E ratio of 19.7 recorded at the end of the first quarter (March 31).

During the upcoming week, 126 S&P 500 companies (including 2 Dow 30 components) are scheduled to report results for the first quarter.

Q1 2026: Scorecard 

Q1 2026: Growth 

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